Chapter 16: Advertising, Public Relations, and Sales Promotion Flashcards
What is a popular form of promotion for consumer-packaged goods and services?
Advertising
How is promotional spending typically divided?
- Measured media: TV, newspapers, magazines
- Unmeasured media: direct marketing, promotions
Which countries spend the most on marketing?
- USA
- China
- Japan
- the UK
- Germany
What kind of skills do companies now need in advertising?
Web-savvy, creative people skilled in interpreting digital ad campaign data
What is the advertising response function?
A phenomenon where increased advertising spending boosts sales/market share up to a point, but then produces diminishing returns
What are some effects on advertising on consumers?
- Informs
- Influences attitudes
- Reinforces positive attitudes
- Affects brand attribute rankings
What are the 2 major types of advertising?
- Institutional advertising
- Product advertising
What is institutional advertising?
Advertising design to enhance company’s image rather than promote a specific product
What is advocacy advertising?
A type of institutional advertising where a company expresses views on controversial issues or responds to media attacks
What are the 3 types of product advertising
- Pioneering
- Competitive
- Comparitive advertising
What is pioneering advertising?
Advertising that stimulates primary demand for a new product or category, used during the introductory stage of the product life cycle
What is competitive advertising?
Advertising that influences demand for a specific brand, often focusin on emotions and brand recall
What is comparative advertising?
Advertising that compares 2 or more specifically named competing brands on 1 or more attributes
What is the purpose of an advertising campaign?
To focus on a comman theme, slogan, or advertising appeal across a series of related advertisements
What is the DAGMAR approach?
A method for setting advertising objectives by defining goals for measured advertising results
Why should advertising focus on product benefits instead of attributes?
Because customers buy benefits, not attributes
What makes an advertising appeal effective?
It must be desirable, unique, believable, and make a positive impression
What is a unique selling proposition (USP)?
A desirable, exclusive, and believable appeal selected as the theme for an advertising campaign
What are some common advertising appeals?
- Profit
- Health
- Fear
- Admiration
- Convenience
- Fun & pleasure
- Vnanity & egoism
- Environmental consciousness
What is message execution in advertising?
The way an advertisement portrays its information, using styles to draw attention and motivate purchase
Name 3 executional styles used in advertising
- Slice-of-life
- Lifestyle
- Spokesperson/testimonial
What is the purpose of post-campaign evaluation?
To measure the effectiveness of an ad campaign and identify areas for improvement
What is media planning in advertising?
A series of decisions on selecting and using media to communicate a message optimally and cost-effectively
What are some types of media used in advertising?
- Newspapers
- Magazines
- Radio
- Television
- The internet
- Out-of-home media
- Alternative media
What is programmatic advertising?
The use of automated systems to buy ad space targeting specific groups in real-time
What is a media mix in advertising?
The combination of media used for a promotional campaign
What are some factors to consider in media selection?
- Cost per contact
- Cost per click
- Reach
- Frequency
- Target audience consideratins
- Flexibility
- Noise level
- Life span
What is a continuous media schedule?
A media scheduling strategy where advertising runs steadily throughout the period
What is a flighted media schedule?
A media scheduling strategy where ads are run heavily at intervals, such as every other month or 2 weeks
What is a pulsing media schedule?
A strategy combining continuous scheduling with flighted schedules during peak sales periods
What is a seasonal media schedule
A scheduling strategy that runs ads only during specific times of the year when a product is likely to be used
What is public relations (PR)?
An element in the promotional mix that evalueates public attitudes, identifies issues of concern, and executes programs to gain public understanding and acceptance. Its goal is to maintain a positive image of the company
What is publicity?
An effort to capture media attention, often through press releases, to support the corporation’s public relations plan
How does new-product publicity help in marketing?
New-product publicity introduces new products by generating free news stories and positive word of mouth, especially for innovative products that need more exposure than traditional advertising
What is produc placement in public relations?
Product placement is a PR strategy that involves getting a product, service, or company name featured in media like movies, TV shows, or magazines. It helps reinforce brand awareness and creates favorable attitudes
Why is consumer education important in public relations?
Educated consumers are believed to become more loyal customers
What is sponsorship in public relations?
Sponsorship is when a company supports an issue, cause, or event that aligns with its corporrate objectives, such as improving brand awareness or enhancing corporate image. Popular areas include education, healthcare, and social programs
What is experiential marketing?
Experiential marketing involves engaging consumers in a way that allows them to experience the brand firsthand, not just read about it
How do companies use their websites for public relations?
Companies use websites to:
1. Introduce/promote products
2. Provide information
3. Interact with customers
4. Showcase events
5. Communicate legislative and financial details
What is crisis management?
A coordinated effort to handle unfavorable publicity or unexpected negative events
What is sales promotion?
Includes marketing activities other than advertising, PR, or personal selling that offer shor-term incentives to purchase products, typically by lowering prices or adding value
What is the difference between trade sales promotion and consumer sales promotion?
Trade sales promotion is aimed at wholesalers and retailers, while consumer sales promotion targets the end consumers
What are the 4 types of consumers targeted in sales promotion?
- Loyal customers
- Competitors’ customers
- Brand switchers
- Price buyers
What are some tools used in trade sales promotion?
- Trade allowances
- Push money
- Free merchandise
- In-store demonstrations
- Trade shows
What are coupons and rebates, and how do they work in sales promotion?
Coupons offer immediate price reductions, while rebates provide cash refunds for purchases within a specific period, both encouraging product trials and repurchases
